Background
- In July 2022, a multinational mining and metals public company asked Capstone to assist in developing and executing a public policy strategy during a time of significant policy and regulatory change in the US mining sector and global supply chains.
- The Company was being served by some of the largest and most well-known advisers and lobbyists on Capitol Hill when it decided to forgo their services and hire Capstone to craft an overall strategy for the company related to US policy.
- We quickly identified several underappreciated developments in the policy landscape for US mining reform and quantified the impact of geopolitical instability and supply chain shortages for the company.
Process
- During the more than two-year engagement, Capstone has provided weekly updates and bespoke briefings to the client covering a broad range of issues, including policy developments ranging from analysis of rare earth and critical minerals under the Inflation Reduction Act (IRA), an overview of the US electric vehicle industry and battery production, and major efforts in the US Congress that will directly or indirectly impact the Company.
- In addition, Capstone has liaised with officials and offices in the executive branch and on Capitol Hill and met with the multinational’s US Ambassador to help quantify the impact on the Company of geopolitical instability and supply chain shortages. Capstone also has provided support for these meetings, including memos, background briefings, and relevant guidance.
- We also have looked ahead several decades to assess critical uncertainties in the political environment and predict the material implications these could have on the mining sector in general and the company in particular.
Outcomes
- Our client has used weekly briefings provided by Capstone to keep global team members informed of US policy developments.
- Several policy changes we predicted, including the expansion of tariffs on imported electric vehicles and batteries from China, materialized throughout the engagement.
- As a result, the multinational company has been able to successfully position itself to navigate a changing policy environment.
Contact Us. We Can Help.
We would be happy to schedule a Quick Read—a free thirty-minute call with one of our expert teams—to discuss the regulatory risks and opportunities that impact your company’s decisions and to consider how we can best help you develop strategies to prepare for the future.
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